August 21, 2006

Ford to cut North American production by 21 per cent

Dearborn, Michigan – The Ford Motor Company has announced that it will reduce its North American fourth-quarter production by 21 per cent, or 168,000 units, compared with the same period’s production in 2005, and will reduce its previously-announced third-quarter plan by 20,000 units. Out of that, 155,000 units, or 92 per cent, will be trucks.

For 2006, Ford now plans to produce 3.048 million vehicles at its North American assembly plants – 1.134 million cars and 1.914 million trucks – a nine per cent reduction from 2005.

Several assembly plants will experience downtime between now and the end of the year, including St. Thomas, Ontario, which builds the Ford Crown Victoria and Mercury Grand Marquis. Other affected plants include Chicago; Wixom, Michigan; Louisville, Kentucky; Wayne, Michigan; Twin Cities, Minnesota; and all F-Series truck plants, located in Missouri, Virginia, Michigan and Kentucky.

Several plants are expected to operate on straight time or overtime, based on consumer demand, including Oakville, Ontario; Hermosillo, Mexico; Flat Rock, Michigan; Wayne, Michigan; Kansas City, Missouri; Avon Lake, Ohio and Atlanta, Georgia.

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